Independent Contractors vs. Employees in Massachusetts Delivery Accidents

Whether a truck driver is classified as an employee or an independent contractor can affect your ability to file a claim against the driver’s employer. This classification can also determine which insurance company—the driver’s, the employer’s, or both—may be responsible for your claim.

At Santoro & Gray, our Boston truck accident lawyers understand when a truck driver is an employee and when they’re an independent contractor. We’re also knowledgeable about the employment arrangements that Amazon, UPS, and other nationwide businesses that regularly use drivers to deliver their products to consumers in Massachusetts have with their delivery drivers. If you’ve been in an accident with a truck driver, contact us. We’re ready to help you.

What is the difference between an independent contractor and an employee?

Generally, employers have the ability to control how, when, and where their workers perform their jobs. Independent contractors normally have more control over their work. However, in some instances, it is particularly important to look at the factors of control in analyzing whether someone is an employee or independent contractor.

Massachusetts’s statutory ‘ABC test’ under Mass. Gen. Laws ch. 149 § 148B is important in worker-classification disputes under certain employment laws. A worker may be presumed to be an employee unless the company proves the worker is free from control, performs work outside the usual course of the company’s business, and operates an independent trade.

While Massachusetts applies the ABC test, some of the following practical factors may still be considered when evaluating control and independence in real-world working relationships:

• How are you paid? Normally, employees are paid with a W-2 form while independent contractors use a 1099 form.
• Who supplies the truck? If you own your truck, that suggests you’re an independent contractor. If you use the truck provided by the business that hires you, that suggests that you are an employee. However, this is not always the case and it is important to consult with your attorney to take a universal look at all factors of control.
• Whether you can accept or reject deliveries. If you have to accept the delivery shipments your employer provides, that suggests employee status. If you can choose which delivery shipments you accept, that suggests independent contractor status.
• The route you take. If the company that ships goods directs which routes you take, that suggests that you’re an employee. Otherwise, you’re more likely to be classified as an independent contractor.

Are employers liable for the negligence of their employees?

The answer depends on the basis for your claim:

Driver liability

Drivers of any vehicle, including trucks, are liable for any accidents they cause if their negligence is the cause of the accident. Examples of truck driver negligence include driving while distracted, driver fatigue, speeding, and driving while intoxicated.

Driver insurance

Truck drivers in Massachusetts are required to carry liability insurance that meets at least the state minimum limits in order to legally operate a vehicle. Massachusetts compulsory automobile insurance generally requires minimum liability limits of $25,000 for one person in one accident, $50,000 per accident, and $30,000 for property damage.

However, many commercial trucks—especially interstate carriers—must carry much higher minimum coverage under federal FMCSA regulations.

Employer liability

Generally, employers are vicariously liable for the negligence of their employees. This means that if our truck accident lawyers can show that a delivery driver was an employee and the driver’s negligence (during the scope of their employment) caused your accident, the employer should be liable for the negligence of their employee.

Employers may also be liable for failing to properly conduct background checks of their employees, train their employees, or monitor the performance of their employees.

Generally, employers are not vicariously liable for the negligence of independent contractors. However, liability may still arise in certain circumstances—such as negligent hiring or supervision, retained control over the work, or where a nondelegable duty applies.

Employer insurance for employees

Generally, employers should have liability insurance to pay for the negligence of any truck drivers that they employ.

Employer insurance for independent contractors

Truck accident victims, in some cases, may have a right to payment from the employer’s insurance company, even though the person who caused the accident is an independent contractor. Many large employers carry liability insurance for their independent contractors, provided certain conditions are met, such as the following:

• The truck driver was “on the clock” (working for the employer) at the time of the accident.
• The truck driver was using the employer’s app (such as the Amazon Flex app) at the time of the accident.
• The truck driver’s negligence is the cause of the accident.

How does a worker’s employee status affect truck accident claims?

Many companies that handle a large number of shipments have their own policies and contracts that determine who is an employee and who is an independent contractor.

Amazon

Amazon uses different types of drivers, including the following:

• Amazon Flex Drivers. These drivers use their own vehicles to deliver packages. They’re normally independent contractors. Amazon Flex insurance may offer up to $1 million in liability coverage in certain circumstances if the truck driver is on the clock and using the Amazon Flex app.
• Delivery Service Partners (DSPs). These are local third-party companies that enter into contracts with Amazon and hire their own drivers. A DSP may be vicariously liable for the negligence of its drivers if the driver was acting within the scope of employment, consistent with agency law principles.

Other defendants may also be liable for truck accidents by delivery drivers, such as manufacturers of defective truck parts, maintenance companies for the failure to inspect and properly repair trucks, and other defendants.

UPS

Generally, UPS truck drivers are employees of UPS, and many are represented by the Teamsters Union for collective bargaining purposes. This means that UPS is normally vicariously liable for any truck accidents due to the negligence of the truck driver during the scope of their employment.

FedEx

FedEx uses a mix of employees and contractors or service providers, depending on the division and contractual structure. We work to show that FedEx’s commercial insurance should pay your claim because the driver was an employee of FedEx, or their policy covered independent contractors and employees.

Other national companies

Liability and insurance companies rely on the factors we discuss above, including employee status, active work status, use of a company app, insurance coverage, and other considerations.

Local delivery services

Many local businesses in Boston (such as retail stores and restaurants) use their own drivers to make deliveries. These employers are normally vicariously liable for accidents due to the driver’s negligence while making a delivery for the company if the worker is an employee.

Speak with our Boston attorneys today

If you were injured or a family member tragically died due to an accident by a truck delivery driver, contact Santoro & Gray. We have the experience and relationships to pursue the full compensation available under the law. Please call us or complete our contact form for a free, confidential consultation. We’re here to support you, tell your story, and fight for your truth.